King Corp., a private company reporting under ASPE, reported the following for the years ended July 31, 2014 and 2013.

Additional information:
1. Profit for 2014 was $106,500.
2. Common shares were issued for $35,000.
3. Land with a cost of $60,000 was sold at a gain of $30,000; $55,000 cash was received and a note receivable was issued for the remainder.
4. Purchased land with a cost of $100,000 with cash.
5. Equipment with a cost of $25,000 and carrying value of $20,000 was sold for $14,000 cash.
6. Equipment was purchased with cash.
Instructions
Prepare a cash flow statement for the year using the indirect method.
TAKING IT FURTHER
Is it favourable for a company to have a net cash inflow from financing activities?

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KING CORP Balance Sheet July 31 2 190,000 Note receivable Liabilities and Shareholders' Equit Accounts payable Accrued expenses payable Income taxes payable Mortgage note payable 185,000 373,200 3 Total liabilities and shareholders' equity